NEW DELHI: The Employees’ Provident Fund Organisation (EPFO) has introduced facilities to enhance convenience for its 7.6 crore members.
Members with e-KYC EPF accounts (Aadhaar seeded) can now file EPF transfer claims online using Aadhaar OTP, eliminating the need for employer intervention. Furthermore, personal details like name and date of birth can be updated online without verification by the employer or approval from EPFO.
Union labour and employment minister Mansukh Mandaviya Saturday announced these services, highlighting a potential reduction in complaints related to member profiles and KYC issues, which account for around 27% of total grievances, as he emphasised that “the new system aims to align EPFO’s service delivery with the efficiency of the banking system, enhancing overall user experience”.
This new facility allows members whose Universal Account Numbers (UANs) were i ssued a fter Oct 1, 2017, to self-correct errors in personal details, including name, date of birth, gender, and marital status, without employer verification or EPFO approval. For UANs issued before Oct 1, 2017, employers can correct details without EPFO’s approval, simplifying the process and reducing the need for supporting documents.
Historically, correcting errors required employees to submit requests online with supporting documents, which employers would verify before forwarding to EPFO for approval, a process called ‘Joint Declaration’. Data from FY 2024-25 shows that only 40% of the 8 lakh requests were sent to EPFO within five days, with an average processing time of 28 days. The new system allows immediate correction via Aadhaar OTP in 45% of cases and employer correction in 50% of cases, providing relief to members and addressing approximately 3.9 lakh pending cases.
Regarding EPF account transfer claims, fully compliant e-KYC EPF account holders can now file claims directly with EPFO using Aadhaar OTP, bypassing the employer’s approval. This change is expected to reduce turnaround time significantly, as over 94% of the 1.3 crore claims filed during FY 2024-25 will instantly reach EPFO. Members with pending transfer claims can delete and resubmit their requests directly to EPFO, streamlining the process and reducing grievances related to transfers, which make up 17% of total grievances.
Large employers, often burdened with a high volume of such requests, will benefit from these changes, which improve the ease of doing business. EPFO is also simplifying its internal processes for transfer claim processing, further smoothing the workflow. Presently, employer verification of transfer claims takes an average of 12 to 13 days, with nearly 20 lakh claims pending for more than 15 days in the last nine months.
